ayjustutients in general journal fornm. SERIAL PROBLEM: KATE'S CARDS e: This is a continuation of the Serial Proble SPS, Ka m: Kate's Cards from Chapters I through 7.) te has put a lot of time and effort into streamlining the process to design and produce a ing card. She has documented the entire process in a QuickTime video she produced on her iMac greet- The video takes the viewer through the step-by-step process of selecting hardware and software, and shows how to design and produce the card. Kate has met many people who would like to get into the Kates Cards production of greeting cards, but are overwhelmed by the process. Kate has decided to sell the entire package (hardware, software, and video tutorial) to aspiring card producers. The cost of the entire package to Kate is $4,500 and she plans to mark it up by $500 and sell it for S5,000 John Stevens, an individual Kate met recently at a greeting card conference, would like to buy the pack- age from Kate. Unfortunately, John does not have this much cash and would like for Kate to extend credit. Kate believes that many of her customers will not be able to pay cash and, therefore, she will need to find some way to provide financing. One option she is exploring is to accept credit cards. She learned that the credit card provider charges a 2.5 percent fee and provides immediate cash upon receiving the sales receipts